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What are Car Insurance Endorsements and Their Benefits?

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Car insurance is one of the significant requirements for every vehicle owner in India. Not only does your insurance protect the car legally, but it also protects against theft, accidents and damage. Nonetheless, the standard policy does not offer basic coverage. That's where the car insurance endorsement comes in.

When you modify car insurance policy, you can opt for add-ons with endorsements. These optional features will allow you to customise the policy as per your needs and provide extra protection. Some of the common types of endorsement you can have are roadside assistance, engine protection and zero depreciation. Each of these will help to handle unexpected situations with complete ease.

Common Types of Endorsements

It is important to understand what is endorsement in insurance policy before opting for the changes. Endorsements refer to the features through which the policyholders can modify or add specific coverage to the existing policies. The endorsement can help you expand the coverage and bring specific changes in terms and conditions so that you can customise the policy.

Before understanding the types of endorsements, you must know why it information is. The endorsements ensure that the policy terms are correct and up-to-date. The accuracy of endorsements is crucial for the following reasons:

• Claim settlement
• Coverage adjustment
• Legal compliance

Now, below are the types of endorsements in car insurance:

• Change of Address

• Name Correction

• Transfer of Ownership

• Add and Remove Hypothecation

• Modifying Coverage

There are different types of endorsement- financial and non-financial. Usually, there's no need for inspection on this. However, the inspection requirements completely depend on whether your insurer has any specific policies for that or not. They can guide you on how to change car insurance policy.

The fee amount for the endorsement will also depend on how much the insurer will charge. The timeline for these endorsements is usually around 10 days. Below is a table providing a detailed outlook into the financial and non-financial endorsements:

Sl No	Endorsement Type	Documents Required
1	Hypothecation Addition	RC copy (front + back) + Load Declaration + Letter from Bank
2	Cubic Capacity Change	RC copy (front + back)
3	Mobile Number Update	Written Consent
4	Paid Driver	3 months’ salary slip of the driver
5	No Claim Bonus (NCB) Certificate	Previous Year Policy + Sale Letter + NCB Declaration from Previous Insurer
6	Salutation Correction	Written Consent
7	Fuel Type Change	RC copy (front + back)
8	Communication Address Change	Written Consent
9	Email Address Update	Written Consent
10	Insured Name Correction	RC copy (front + back) + Previous Year Policy
11	CNG Addition (External)	Invoice of the CNG kit & RC copy (front + back)
12	Change in Insured Declared Value (IDV)	RC copy (front + back) + Previous Year Policy
13	Nominee Details Update	Name + DOB + Relation with Written Consent
14	Model & Variant Change	RC copy (front + back)
15	Date of Manufacturing Correction	RC copy (front + back)
16	Chassis Number Correction	RC copy (front + back)
17	Personal Accident Owner Driver	Aadhar card + Driving License
18	Hypothecation Removal	No Objection Certificate (NOC) from the bank
19	Date of Birth Correction	Written Consent
20	Seating Capacity	RC copy (front + back)
21	Engine Number Correction	RC copy (front + back)
22	Registration Number Correction	RC copy (front + back)
23	Period of Insurance Adjustment	Previous Year Policy
24	CNG Addition (Company Fitted)	RC copy (front + back)
25	GST Number Addition	GST certificate
26	Unnamed Passenger Cover	RC copy (front + back)
27	Transfer of Ownership	Updated RC/Form 29 & 30/Receipt + New Owner's details + Nominee Info (if PA cover exists)
28	Colour Change of the Car	RC copy (front + back)

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